Any claimant who has incurred a financial loss due to a failure of a secured commodity dealer shall be entitled to be compensated for eighty-five percent (85%) of a valid claim, to a maximum of one hundred thousand dollars ($100,000), with moneys from the Tennessee grain indemnity fund subject to a maximum amount of three and one third (3 1/3) percent of the balance of the indemnity fund at the time of the failure.
Any claimant who has incurred a financial loss due to the failure of a warehouseman and who has surrendered a warehouse receipt for payment or holds a warehouse receipt and cannot receive value shall be compensated for one hundred percent (100%) of the claim subject to a maximum amount of three and one third (3 1/3) percent of the balance of the indemnity fund at the time of the failure.
Within ninety (90) days of the commissioner's approval of a valid claim, the department shall compensate from the Tennessee grain indemnity fund any claimant who has incurred a financial loss due to a failure of a commodity dealer or warehouseman. To the maximum extent that funds are or may be available for such purpose, the remaining balance of the claims shall be paid by the department from the assets and other security of the failed dealer.
Commodity producers from outside Tennessee shall not be subject to the assessment if they certify to the commodity dealer or warehouseman that they are out-of-state producers by completing a form given to the commodity dealer or warehouseman in order to obtain the exemption. A commodity producer from outside of Tennessee may be subject to the assessment and therefore awarded all the protection of this part if the producer so chooses and meets the requirements of this part.
Producers who have requested and received a refund of an assessment may re-enter the program by petitioning commissioner for approval of re-entry into the program and immediately upon mailing a petition for re-entry to the offices of the department, David Waddell, P. O. Box 40627, Nashville TN 37204, email@example.com, (615) 837-5331, and by placing an amount equal to all previous assessment refunds plus interest in an escrow account in a local bank.
Any producer upon and against whom the assessment is levied and collected, if dissatisfied with the assessment and its result, may demand of and receive from the Tennessee commodity producer indemnity fund a refund of the assessment collected from the producer. Requests for refunds shall be made within ninety (90) days of the date the amount was deducted. By voluntarily submitting to a refund, the producer foregoes any protection or compensation provided by the Tennessee grain indemnity fund.
Contact - Producers with questions should contact David Waddell at 615-837-5331 or David.Waddell@tn.gov.